Trump's Speech Causes IHSG to Close in the Red
The Composite Stock Price Index (IHSG) on the Indonesia Stock Exchange (BEI) closed weaker on Thursday afternoon, triggered by the national speech of US President Donald Trump, which provided no clarity on the timeline for resolving the conflict in the Middle East region.
The IHSG closed down 157.66 points or 2.19% at 7,026.78. Meanwhile, the LQ45 index of 45 leading stocks fell 12.21 points or 1.68% to 714.58.
“Asian markets were dominated by weakness, following the return of investor caution after the main speech by US President Donald Trump, which offered no clarity on the timeline for resolving the Middle East conflict,” said Associate Director of Research and Investment at Pilarmas Investindo Sekuritas, Maximilianus Nico Demus, in his analysis in Jakarta on Thursday.
From abroad, although Trump stated that US operations are nearly complete, he also emphasised taking more aggressive steps, including the possibility of attacks on power plants in the next two to three weeks.
Meanwhile, domestically, the IHSG weakened in line with Asian markets, as well as due to sluggish export data and solid import growth.
At the same time, investor caution increased ahead of the release of March 2026 foreign exchange reserve data, after February 2026’s position fell to the lowest level in three months.
Nico said that high global crude oil prices, along with ongoing geopolitical risks, continue to pose potential inflation increases, although annual inflation fell to 3.48% in March 2026 and returned to within Bank Indonesia’s (BI) target.
On the other hand, BI has introduced several new measures to curb speculation, reaffirming its priority in maintaining exchange rate stability.
Opening weaker, the IHSG remained in negative territory until the close of the first trading session. In the second session, the IHSG stayed in the red zone until closing.
Based on the IDX-IC Sectoral Index, one sector strengthened, namely the non-primary consumer goods sector, which rose by 0.59%.
Meanwhile, ten sectors weakened, with the basic materials sector falling the deepest at 4.96%, followed by the infrastructure sector and the energy sector, which fell by 3.93% and 2.73% respectively.
The stocks that experienced the largest gains were ALKA, MSIN, BEER, YPAS, and ASPR. Meanwhile, the stocks that experienced the largest declines were NSSS, DATA, FWCT, ATAP, and TALF.
Share trading frequency was recorded at 2,014,275 transactions, with 31.54 billion shares traded worth Rp16.47 trillion. 475 stocks rose, 209 stocks fell, and 135 stocks did not move.
Regional Asian stock markets this afternoon included the Nikkei index weakening by 1,290.68 points or 2.40% to 52,449.00, the Shanghai index weakening by 29.27 or 0.74% to 3,919.29, the Hang Seng index weakening by 177.50 points or 0.70% to 25,116.53, and the Straits Times index strengthening by 28.33 points or 0.57% to 4,947.50.
The Financial Services Authority (OJK) imposed fines of Rp96.32 billion on 233 capital market participants up to March 2026, including Rp29.3 billion from share price manipulation cases.
Indonesia’s capital market experienced quite dynamic movements with high volatility levels due to geopolitical pressures and domestic and global conditions, according to the OJK Executive Head.
The IHSG recorded a significant gain of 2.75% to 7,302, driven by a combination of positive domestic fiscal sentiment and inflows of foreign funds.
Transparency is a key factor for Indonesia’s capital market to level up and compete globally.
The Regional Board of the Real Estate Indonesia (DPD REI) for DKI Jakarta encourages property developers to utilise the capital market as an alternative for long-term financing.
The Israeli military reported waves of Iranian missile attacks and claims of Hezbollah strikes amid escalating tensions following US President Donald Trump’s speech.
US President Donald Trump stated that military objectives in Iran are nearly achieved, but preparations are being made for a major attack in the next 2-3 weeks.
According to sources, Trump telephoned Mohammed bin Salman to discuss opportunities for an Iran ceasefire. The US sent a proposal to Tehran, with the conflict triggering a surge in global energy prices.
US President Donald Trump claimed that Iran requested a ceasefire on the condition of opening the Strait of Hormuz. Tehran strongly denied the claim.
Trump added that his side has always regarded NATO as a “paper tiger”, an organisation that appears strong.